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PUPPET PROTEST
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Activist Donovan Zimmerman sculpts a giant hand out of newspaper
and cornstarch in the Pit on Thursday. The puppet will be used
in a demonstration in Washington, D.C., next weekend.
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Government: Gas Prices to Peak in April
Federal economists now
project that gas prices
should decrease during the
summer, beginning in May.
Associated Press
WASHINGTON - Gasoline prices
should peak this month and decline to
an average of $1.46 a gallon for the
summer, the government said
Thursday, revising dramatically its pre
vious expectations of soaring fuel prices
going into the vacation season.
While the forecast dampened the
prospect of $2 per gallon of regular
grade gasoline even in high-price areas,
as once feared, motorists still will be
paying about 25 percent more for gaso
line this summer than last year, the fore
cast said.
It said the average family, traveling
12,000 miles from April through
September, is likely to pay $ 170 more
for fuel this year than last vacation sea
son.
The Energy Department said
Thursday its revised forecast, taking
into account the additional oil produc
tion announced by world producers last
month, shows the average price nation
wide peaking at $1.52 a gallon this
month and then declining.
Gasoline prices already have
dropped a bit in some places. The fore
cast estimates prices averaging $1.39 a
gallon after Labor Day. Still, officials
warned that the estimates are national
averages and in some areas prices are
APRIL 8, 2000
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National
likely to be higher.
Average gasoline prices in California
in March, for example, have been 26
cents a gallon higher than the national
average, with the disparity expected to
continue into the summer, the report
said.
The latest analysis by the Energy
Information Administration was in
sharp contrast to its forecast a month
ago when the agency said that even with
increased oil production, gasoline prices
were expected to soar to a national aver
age of SI.BO a gallon. That prompted
widespread fear of $2 per gallon gas just
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when millions of Americans hit the road
for summer vacations.
“Today’s estimates... are proof that
the Clinton administration’s quiet diplo
macy worked," said Energy Secretary
Bill Richardson.
“This positive news reinforces
OPEC’s efforts to bring stability and loss
volatility to the markets.”
The turn of events was welcomed by
motorists.
“Isn’t that thrilling,” said Sandy
Cohen, 51, of Virginia, when told of the
latest price predictions as he browsed
through maps at the American
Friday, April 7, 2000
Automobile Association office near the
White House. Cohen said he planned a
500-mile summer trip in the family
minivan that “gets horrible mileage”
and every penny saved at the pumps
helps.
But Joe McNeamey, 21, a congres
sional intern from Minnesota, said he
viewed the forecast with skepticism.
“I’m going to wait and see if the prices
really go down,” he said.
On Capitol Hill, meanwhile, the
enthusiasm for giving motorists relief
from high gasoline prices seemed to lose
momentum.
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